Wall Street reveals the causes of Saudi Arabia’s oil war against Russia

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A consultant in the Saudi government explained to the newspaper that the talk is not about just an oil issue, but rather about competition between the personal aspirations of “Bin Salman” and Russian President Vladimir Putin. The widespread American newspaper indicated that negotiations took place in early February between Moscow and Riyadh, focusing on the possibility of building a broader and longer-term alliance between the two countries.

People familiar with the matter confirmed that one of the scenarios presented in those negotiations was to intensify Saudi investment efforts in Russia and support Moscow’s military efforts in Syria, but bin Salman decided to refrain from concluding this deal.

The crown prince, according to newspaper sources, ordered his brother, Minister of Energy Prince Abdulaziz bin Salman, to force OPEC to adopt the Saudi decision, “even if that means undermining any hope that Russia will join it.”

Last Saturday, the minister informed Aramco officials of the decision to increase oil supplies at low prices, in what a high-ranking Saudi official described to the newspaper as the decision to “declare war on Putin.”

Within hours of that, the officials of the Saudi Ministry of Finance were entrusted with the task of preparing a budget scenario for Brent crude prices to drop to $ 12-20 dollars per barrel, and the government instructed all ministries to reduce their level of spending in preparation for this scenario.Four well-informed sources told Reuters on Wednesday that Saudi Arabia asked government departments to submit proposals to reduce their budgets by about a third, in new austerity steps to meet the sharp drop in oil prices.

The sources added that the request was sent more than a week ago, due to concerns about the impact of the Corona virus on crude markets, and before the collapse of the agreement to cut production between OPEC and its allies on Friday.





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